Vodafone to increase stake in Vodacom

Vodafone to increase stake in Vodacom

October 13, 2016

Vodafone plans to expand its operations in emerging markets by increasing its stake in South African network Vodacom to 65%.

A ‘non-binding proposal’ of US$2.3 billion to acquire an extra 15% stake in Vodacom has been submitted by Vodafone.

Vodafone already owns 50% of Vodacom, with the other 50% owned by South Africa fixed line provider Telkom.

Disputes between the two companies have frustrated the Vodacom board, who have complained that it is difficult to keep two equally influential shareholders happy.

As such, the proposed deal is subject to Telkom distributing its remaining 35% of shares among its shareholders.

Vodafone believes Vodacom is an ‘attractive asset’ because of strong market positions in South Africa, Lesotho, the Democratic Republic of Congo, Lesotho, Mozambique and Tanzania.

Vodacom is the biggest mobile operator in South Africa with 24.8 million customers. It is has 9.2 million customers in its other markets.

Earlier this year Vodafone shook up executive roles, dividing the emerging markets position into two.

Morton Lundal was appointed as CEO of the newly created Central Europe and Africa Region.

In August Vodafone acquired a 70% stake in Ghana Telecom.

Tim Yeo

Related Posts

Mobile broadband overtakes Wi-Fi hotspots

Comments Off on Mobile broadband overtakes Wi-Fi hotspots

Vodafone boss to retire with £25m payout

Comments Off on Vodafone boss to retire with £25m payout

HTC handsets could be banned in Germany

Comments Off on HTC handsets could be banned in Germany

Kick the SMS habit says Palringo

Comments Off on Kick the SMS habit says Palringo

Avanti offers emergency broadband back up

Comments Off on Avanti offers emergency broadband back up

China to go 3G and expects 13 million users by 2011

Comments Off on China to go 3G and expects 13 million users by 2011

Sohonet upgrades London network

Comments Off on Sohonet upgrades London network

East-coast mainline passengers to get free Wi-Fi

Comments Off on East-coast mainline passengers to get free Wi-Fi

DS2 adds remote management to AITANATM chip

Comments Off on DS2 adds remote management to AITANATM chip

BT calls for broadband speed advertising rules

Comments Off on BT calls for broadband speed advertising rules

Are Apple’s chips with Broadcom?

Comments Off on Are Apple’s chips with Broadcom?

O2 launches high-speed, low-cost broadband

Comments Off on O2 launches high-speed, low-cost broadband

Create Account



Log In Your Account